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National Labour Relations in Internationalized MarketsA Comparative Study of Institutions, Change and Performance$
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Franz Traxler, Sabine Blaschke, and Bernhard Kittel

Print publication date: 2001

Print ISBN-13: 9780198295549

Published to Oxford Scholarship Online: October 2011

DOI: 10.1093/acprof:oso/9780198295549.001.0001

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The Organization of Interests

The Organization of Interests

(p.218) 14 The Organization of Interests
National Labour Relations in Internationalized Markets

Franz Traxler

Sabine Blaschke

Bernhard Kittel

Oxford University Press

The organization of interests gives rise to several issues. Because interest organizations are believed to reduce efficiency, a fully competitive market is seen as preferable. Since this is not possible, the second-best solution would be to encompass domains. This makes associations adopt a ‘responsible’ policy line that internalizes externalities while taking the interests of outsiders into account. Another issue of concern is how centralization is hypothesized as a precondition for wage moderation since associational control over pay-fixing must be ensured. The last issue involves how membership strength, whether at the primary or secondary base of associational power, affects performance. This chapter separately discusses the three distinct organizational issues: representational domains, associational centralization, and associational power.

Keywords:   representational domain, associational centralization, associational power, wage moderation, membership strength, externalities

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